Introducing $CASH: 💸 Tokenomics 📈 for Privacy-focused Investments
Avacash.Finance is a fully decentralized protocol that automatically invest your assets privately in different DeFi protocols on the Avalanche Blockchain.
Avacash.Finance was the first privacy tool launched on the Avalanche Blockchain on September 10th 2021 and will continue to implement new cool and innovative features in the following months (see our published Roadmap here)
Avacash.Finance’s aims to achieve #Privacy, with good #Investments in a #Decentralized way. In order to do that, the $CASH governance token it’s needed. Here we explain you why and how will the economics of the $CASH token (its tokenomics) will work.
We need the $CASH token to share gains 🤑:
There are different sources of gains by investing anonymously through Avacash.Finance. We can divide them in three groups:
- Flashloans fees: Avacash.Finance already implements Flashloans natively for all the AVAX pools, and will do the same for ERC20 pools. Every time a developer triggers a flashloan using the Avacash.Finance’s anonymity pools, it pays a fee that needs to be distributed among the liquidity/anonymity providers. Currently this fee is around 0.003% for every flashloan and can be changed by governance (see the “We need the $CASH token to make decisions” section).}
- Autocompund Tokens’ yield: By depositing autocompound tokens like “Yield Yak: PGL AVAX-PNG” you will be not only receiving anonymity, but also the autocompound APY provided by platforms like YieldYak, Beefy or Benqi. This tokens are chosen by governance (see the “We need the $CASH token to make decisions” section).
- DeFi protocols integration’s yield: Several DeFi protocols will be introduced to invest the anonymized funds. These protocols will provide gains that will need to be distributed among the liquidity/anonymity providers.
However, there is an issue with anonymity. For example, if you deposited 10 AVAX in a pool that gives you 50% APY, and later, you withdraw 15 AVAX, anyone could guess how much time your funds where being anonymized (1 year), and hence, guess your deposit address by exploring the blockchain.
Here is where the $CASH token comes into play: We use the $CASH token to share gains among the $CASH token holders. As anonymity/liquidity providers will mine $CASH tokens in an anonymized way (see next section), they will be able to receive the gains without compromising their anonymity.
We need the $CASH token to incentivize Anonymity:
In order to incentivize users to participate and provide anonymity and liquidity in the different anonymity pools, we are introducing the Anonymity Mining program.
The Anonymity Mining concept was first introduced by TornadoCash (see here), and its a wonderful invention that give users the $CASH token through a two-stage shielded liquidity mining system, which fully preserves user’s privacy.
Avacash.Finance will reward you with the $CASH token. In order to receive $CASH tokens you’ll need to deposit on any anonymity pool and wait. The more you deposit and the more you wait, the more $CASH tokens you’ll receive, without leaking any information about your deposits or withdrawals.
A more in detailed article will explain how the Anonymity Mining program works. Avacash.Finance will use a halving distribution system! Stay tuned!
With the Anonymity Mining program, users will receive $CASH tokens by participating in the anonymity pools, and hence, be able to receive gains without loosing anonymity.
We need the $CASH token to make decisions
In order to be completely decentralized and governed by its community, Avacash.Finance needs a governance token. With the $CASH tokens, users are able to participate by voting on governance proposals, adding new tokens to the anonymity pools, and changing parameters like the flashloans fees.
Governance proposals have the power to change any of the Avacash.Finance’s internal parameters. Also, the governance contract has access to the Avacash.Finance’s DAO treasury, which enables Avacash.Finance to fund future projects and development.
The $CASH governance token.
$CASH is an ERC20-compatible token with a fixed supply and 2 functions: it governs (decision making) Avacash.Finance and it shares the fees gained by the platform.
There is a fixed total supply of 1,000,000 (1M) $CASH tokens.
$CASH token distribution:
- 50% (500,000 $CASH): Anonymity Mining for Avacash.Finance’s pools — distributed halving its supply every year -.
— 1st year: 250K to be distributed linearly
— 2nd year: 125K to be distributed linearly
— 3rd year: 62.5K to be distributed linearly
- 20% (200,000 $CASH): Team-controlled Treasury — unlocked linearly over 2 years — to fund the future development & research of Avacash.Finance’s Dapps.
- 12% (120,000 $CASH): DAO Treasury — unlocked linearly over 2 years — to fund new proposals, grants or anything the DAO desires
- 10% (100,000 $CASH): Marketing Treasury
- 2% (20,000 $CASH): Compensation Program
- 2% (20,000 $CASH): Bounties Treasury
- 2% (20,000 $CASH): Early users airdrop.
- 1% (10,000 $CASH): Community Airdrop.
- 0,5% (5,000 $CASH): TornadoCash TORN token holders airdrop
- 0,5% (5,000 $CASH): Sherpa token holders airdrop
- How can I get $CASH?.
You will be able to get $CASH by providing anonymity/liquidity on any of the anonymity pools through the Anonymity Mining Program. You will also be able to buy it in any exchange, like Pangolin.
- Where can I buy $CASH?
You will be able to buy it in any exchange, like Pangolin.
- When will the $CASH token be released?
End of October 2021.
- Are there any staking incentives?
Yes! Users will be incentivize to stake their tokens in order to receive the Avacash.Finance’s investments gains Also they will need to stake them in the voting contract while voting.
- Where can I stake my $CASH?
More info to come.
- Is there any Private sale?
The $CASH token will be fairly distributed among the Avacash.Finance’s users through an Anonimity Mining program and airdrops. Avacash.Finance won’t have any private sale.